Pam Exchanges a Rental Building, Which Has an Adjusted Basis

question 179

Multiple Choice

Pam exchanges a rental building, which has an adjusted basis of $520,000, for investment land which has a fair market value of $700,000. In addition, Pam receives $100,000 in cash. What is the recognized gain or loss and the basis of the investment land?

• A) $0 and $420,000.
• B) $100,000 and $420,000.
• C) $100,000 and $520,000.
• D) $280,000 and $700,000.
• E) None of the above.

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Definitions:

Metadata

Embedded electronic data recorded by a computer in association with a particular file, including location path, creator, date created, date last accessed, hidden notes, earlier versions, passwords, and formatting. Metadata reveals information about how, when, and by whom a document was created, accessed, modified, and transmitted.

Electronic Data

Information that is stored in a digital format and can be retrieved via electronic devices.

Chain of Custody

The chronological documentation or paper trail that records the sequence of custody, control, transfer, analysis, and disposition of physical or electronic evidence.

Chain of Custody

A legal concept that refers to the chronological documentation or paper trail showing the seizure, custody, control, transfer, analysis, and disposition of physical or electronic evidence.